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VMware looks to expand Cloud to Azure and Google, due to customer demand

Key Points
  • VMware, the cloud computing subsidiary of Dell, initially launched VMware Cloud on AWS last year in the U.S.
  • Now CEO Patrick Gelsinger says customer demand has warranted adapting VMware services to Microsoft Azure and Google Cloud, too.
  • "We have interest from our customers to expand our relationships with Google, Microsoft and others," Gelsinger said.
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WMware CEO on earnings

Despite an established relationship with Amazon Web Services, VMware plans to expand its cloud relationships with Microsoft Azure and Google Cloud, CEO Patrick Gelsinger said on Friday.

"We have interest from our customers to expand our relationships with Google, Microsoft and others," Gelsinger said on CNBC's "Squawk Alley." "We have announced some incremental expansions of those agreements."

VMware, the cloud computing subsidiary of Dell, initially launched VMware Cloud on AWS last year in the U.S. The company announced that VMware Cloud on AWS would expand into Europe, concurrently with earnings on Thursday.

But Gelsinger says customer demand has warranted adapting VMware services to Microsoft Azure and Google Cloud, despite that several of VMware's largest customers are already running VMware cloud on Amazon Web Services (AWS).

While Amazon is the dominant cloud company, competitors like Microsoft are gaining ground, fast. Amazon Web Services held 33 percent of the cloud infrastructure market in the first quarter, compared to Microsoft's 13 percent, according to Synergy Research Group. But while Amazon's market share was flat from the year prior, Microsoft and Google saw their share increase.

"There is no edge to the data center anymore, and customers have multiple cloud products," Gelsinger said.